Phan Thiet Garment Export Joint Stock Company (UPCoM: PTG) has just finalized the second dividend rights of 2024 at a 100% cash ratio, raising the total payment for the whole year of 2024 to 150%, surpassing the historical peak of 120% recorded in 2017, 2019 and 2021.
With the stock market price remaining at 700 VND/share since mid-August 2024, lower than the price of a cup of iced tea, PTG's actual dividend rate will reach nearly 2,143% in 2024.
Notably, PTG's initial plan was to only pay dividends in 2024 with a total rate of 100% in cash. After the 2025 Annual General Meeting of Shareholders in mid-April, the company decided to increase the payment level to 150%, using the remaining accumulated profits from previous years. In 2025, PTG plans to pay cash dividends at 50%, equivalent to nearly VND25 billion, higher than the previously expected 20%.
The high dividend policy partly reflects PTG's stable business performance. Revenue has remained steady at over VND400 billion/year from 2019 to present, peaking at over VND500 billion in 2022. In 2024, revenue will reach VND488 billion, up 6% over 2023. Net profit in 2024 reached VND52 billion, the highest in 6 years, up 11% over the previous year and 2.5 times higher than in 2019.
Unusually high dividend rates come from the low valuation of PTG stocks in the market, mainly due to poor liquidity. This stock is often liquid, partly due to a tight ownership structure with nearly 65% of shares belonging to internal shareholders and relatives. At the same time, the high dividend policy makes shareholders tend to hold for a long time, without having transactions.
Another company, Hai Phong Funeral Service Joint Stock Company (CPH stock code) has just announced the trading date not entitled to cash dividends in 2024 as May 16, 2025. The dividend payment rate is 19.6% compared to the equivalent face value of VND 1,960/share.
Meanwhile, currently in the UPCoM market, the market price of CPH is only about 300 VND/share, meaning the dividend is 6.5 times higher than the market price of the stock. With 4.4 million outstanding shares, the company plans to spend nearly VND8.6 billion on this dividend.
This is the only funeral company on the stock exchange to be converted from a 100% State-owned LLC to operate under the model of a State-owned joint stock company holding 64.5% of charter capital since June 2, 2015 under Decision No. 1068/QD-UBND dated May 21, 2015 of the Hai Phong City People's Committee.
The company performs the functions of managing and organizing services for funerals, burials, cremations, transportation for funerals, cemetery management, providing goods and services for funerals, etc.
Thanks to stable annual business results, Hai Phong Funeral Service Joint Stock Company has maintained a cash dividend policy at a rate of 15-20%/year for many years.
The company has a dense shareholder structure when the Hai Phong City People's Committee holds up to 64.5%. Another major shareholder, Hoang Phat Construction Investment and Trading Company Limited, holds 10% of the capital. The rest belongs to individual investors.
In 2024, CPH recorded net revenue of nearly 152 billion VND, up 15% over the same period in 2023 and the second highest in the history of operations. After deducting expenses, the Company net made a profit of VND10.8 billion, up nearly 6% compared to 2023.
